Traditional Phone vs. VoIP System: What’s the Best for Your Business?

Man pointing to the VOIP informationAs a small or medium-sized business, you need to have an easy and hassle-free way of communicating with your clients and vice versa. At this point, you may think that you just need a traditional phone system, like the one you have at home. It is not as easy as you think, however. Choosing the right communication platform for your business can be quite tricky, seeing that you have some variables to consider.

Ultimately, you have two primary options: the traditional phone and the Voice over Internet Protocol (VoIP) system. Knowing more about how their differences can help you make the right choice.

The hardware

Although traditional phone systems have improved considerably over the years, they still require the installation of bulky and heavy equipment. The physical lines and devices that comprise them need not just a lot of space on-site, but regular maintenance too. All these further increase the cost to operate them.

With VoIP, on the other hand, the entire system already serves as the phone switch. For instance, when you work with a highly reputable Asterisk provider, you can transform a single computer to a complete and robust communications’ server. So just imagine how little space you have to use when you go with VoIP.

The initial cost

Installing a traditional phone system in today’s time and age costs a lot more than when you set up VoIP. With a cost per employee ranging from $800 to $1,000, this can quickly balloon to proportions you may not afford. Therefore, if you have five employees, all of whom requires a line, you are looking at a $4,000 to $5,000 initial expense.

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Opt for VoIP instead, and for the same number of employees, you can reduce your costs by more than half. On average, a VoIP system with five extensions only costs about $2,000.

Although the final decision still depends on your preference and needs, you should not disregard all the benefits and advantages that VoIP has to offer.